You're missing out...

Life insurance in Amsterdam

It’s not something we want to think about too much – what happens when we’re not around. Taking out life insurance will make sure your close family members are taken care of financially should you die. As an expat in Amsterdam, you’ll have a number of insurance options. In this guide we have explained how Dutch life insurance (levensverzekering) works and where you can purchase it.

To buy life insurance in the Netherlands, you must be over 18 years old and have Dutch residence status.

The person who purchases the insurance (verzekeringnemer) doesn’t necessarily need to be the person who is covered by the insurance (verzekerde). The beneficiary (begunstigde) is the person who receives the payment in the event of the insurer’s death.

This is the simplest form of life insurance. It pays out a sum, which you agree which your insurer before signing up, to your close family members in the event of your death. This is on the condition that your death is within the term of the insurance.

Every month you pay a contribution for the insurance.

You should not deduct the premium amount from your taxable income when you declare it in your tax return. No tax can be levied on the lump sum paid out in the event of your death.

Mortgage life insurance is a type of life insurance which you can use to pay off your home after your death. Again, your family members will receive a one-off amount. You do not pay tax during the term of the insurance and no tax is due on the lump sum.

Life insurance can be taxed as inheritance. For inheritance to be taxed in the Netherlands, it must exceed €603,600 (as of 2011). This does not apply if the partner of the insured takes out the policy and pays the premium in their name.

We used independer.nl, an insurance comparison site, to work out how much life insurance would cost.

We checked for a 63-year-old non-smoker for a fixed term insurance with a payout of €20,000 upon death. The cap on the term was 16 years and the monthly premium was between €10 and €20, depending on your chosen company (the total amount to pay over the term working out between €2,000 and €3,000).